Don’t hit panic button on tech pullback just yet
Investors work on the floor of the New York Stock Exchange (NYSE) on November 7, 2025 in New York City.
Spencer Platt | Getty Images
November was historically the best month for the S&P 500, gaining an average of 1.8% over the period, according to Stock Trader’s Almanac.
But in the first full trading week of the month, stocks were caught in the November rains.
S&P 500 And Dow Jones Industrial Average each lost more than 1 percent Nasdaq Composite That was a loss of around 3%, the biggest weekly loss since the tech-heavy index tumbled 10% in the week ending April 4.
A few months ago, tariffs were the shadow following stocks. There is now a fear that AI-related stocks may be trading at prices different from what the companies are actually worth.
“For example, you have trillions of dollars tied up in seven stocks. So with that kind of concentration, you’re wondering, ‘You know what, when is this bubble going to burst?’ It is inevitable that a concern will arise.‘” CEO DBSSoutheast Asia’s largest bank Tan Su Shan told CNBC.
Goldman Sachs CEO David Solomon also thinks turbulent waters could lie ahead.
“There will probably be a 10 to 20% decline in equity markets over the next 12 to 24 months,” Solomon said Tuesday at the Global Financial Leaders Investment Summit in Hong Kong.
However, a pullback isn’t necessarily bad for stocks. This could even present investors with “buying opportunities,” according to Glen Smith, chief investment officer of GDS Wealth Management.
UBS multi-asset strategist Kiran Ganesh told CNBC that the earnings were “reassuring” despite concerns about the high valuations of tech stocks. This means the rain won’t last long and the rally may find a way to last a little longer.
— CNBC’s Lee Ying Shan, Hugh Leask and Lim Hui Jie contributed to this report.
What you need to know today
Major US indices were mixed. Nasdaq Composite It closed 0.21% lower in the US on Friday, but US futures rose on Sunday evening. Asia-Pacific markets were higher on Monday with South Korea joining. kospi Explosion of more than 3% as of 2pm Singapore time (01am ET).
China rolls back restrictions on rare earth elements. Beijing said friday He said he would suspend some restrictions on the export of rare earth elements. This move follows the meeting between US President Donald Trump and his Chinese counterpart Xi Jinping on October 30.
The Nexperia impasse is showing signs of easing. China’s Ministry of Commerce said: a statement On Sunday, it was announced that steps were being taken to allow the export of certain chips from Nexperia’s China facility. Shares of Nexperia parent company Wingtech Technology It climbed on Monday.
The U.S. government is on track to end the shutdown. On Sunday night, the Senate passed the first phase of a deal to end the shutdown. The procedural measure allows further votes needed for the agreement to take place starting Monday.
[PRO] Chinese industries benefiting from artificial intelligence. Earnings season continues in the country and some AI-related sectors are coming to the fore, registering growth of up to 57 percent, while others are facing decline due to fierce price competition.
And finally…
Fluid Factory | E+ | Getty Images
Global wealth boom increases number of family office fraudsters
Fundraisers and scammers pose as family office representatives trying to dupe gullible investors — and there are also fraudsters who are in it just to “boost their ego,” several industry veterans told CNBC.
The information gap seems to have encouraged fraudsters. In many markets, true single-family offices, or SFOs, are exempt from registration as long as they manage family money only. Industry experts said this privacy norm often makes verification difficult.
— Lee Ying Shan
